Minds for
Change –
Chancen schaffen
Enhancing
Opportunities –
Zukunft
entwickeln
Foreword
3
In presenting this strategy I would like to invite you to
participate in the dialogue on development policy.
Fifty years ago Walter Scheel became head of the newly
founded Ministry for Economic Cooperation of the
then young Federal Republic of Germany. While the
building of the Berlin Wall in 1961 was to divide East
and West, the Ministry set itself the goal of overcoming the boundaries between North and South, between
rich and poor, the ‘First’ and the ‘Third’ Worlds. The
question we need to ask ourselves today is obvious: Has
Germany exhausted its development policy potential
over the past 50 years? Where can improvements
be made? What has stood the test of time? In a Peer
Review in 2010 experts from the OECD Development
Assistance Committee (DAC) asked the Federal Ministry for Economic Cooperation and Development (BMZ)
to outline Germany’s development policy strategy. In
2009 the new German government set itself the goal of
convincing especially those who had so far been rather
sceptical about the ‘development business’.
Our intention in putting forward this strategy on
development policy is two-fold: It is our response to
those who have been working and achieving progress
in this policy field for decades. We want to encourage
everyone to generate wider acceptance, in the whole
of society, of the concerns addressed by development
policy. We want to convince everyone, including the
sceptics, that development policy is a worthwhile
investment in the future of our planet.
All human beings are born free and equal in dignity
and rights. That is why we are committed to freeing
people from fear and want, and to creating societies
based on equal opportunities throughout the whole
world. Good development enables people to seize the
opportunities available to them and to lift themselves
out of poverty. Effectiveness is an important issue for
us. That is why our development policy is oriented to
creating better global ecological, economic, political
and social conditions so as to eliminate the causes of
poverty. Where we can help make sure that globalisa-
tion leads to good development for all, this is not only
in line with our values, but is also in our interests.
This strategy on development policy is not meant to,
nor can it, answer every question or list every project
and programme. But we wish to and we can show
that development policy holds great potential when it
comes to helping to create a better world. The strategy
describes five key areas in which we can now set the
course for a development that is fit for the future.
Despite the complex interrelationships, we have deliberately kept this paper brief, because otherwise it
would have become a monologue destined to be read
only by experts. What we want is to enter into a dialogue with all committed individuals in civil society
and politics, in science and in business. In our eyes,
the BMZ is a learning organisation. In putting forward
this strategy we are opening up the debate on what
we in the German government stand for. At the end
of the dialogue process we will publish an extended
paper outlining how the individual priority areas will
be implemented and what the many dedicated individuals can do to help. The dialogue is thus part of the
strategy.
We look forward to your getting involved in and
contributing to this process. I invite you to participate
in shaping our strategy ‘Minds for Change - Chancen
schaffen’.
Dirk Niebel
Federal Minister for Economic Cooperation and Development
4
M in d s for C hang e – En hanc ing Op p ortunities
Germany’s new development policy
1. More innovation
We are supporting a culture of innovation and building
innovation capacities in international cooperation.
2. More education
We are investing in education and fighting the causes
of poverty rather than alleviating the symptoms.
3. More ownership
We are actively supporting and demanding good governance
and the observance of human rights.
4. More effectiveness
We are working to increase the effectiveness of development
policy and taxpayers’ money.
5. More commitment
We are promoting commitment from and the reconciling of civil
society and business.
C hanc e n s c haffe n – Zu k u n ft e n tw ickeln
6. More entrepreneurship
We are doing more to tap the potential of entrepreneurial
thinking and action in Germany and in partner countries for
the benefit of development.
7. More dialogue
We regard the Federal Ministry for Economic Cooperation and
Development (BMZ) as a dialogue platform for future viability
and coherence.
8. More investment
We are placing financing for development on a broader footing.
9. More climate protection
We are promoting technology developments for more climate
protection, renewable energies and inclusive green growth.
10. More prevention
We are investing in peace and engaging in crisis prevention.
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Tab le of c on te n ts
1.
Innovative development policy:
an investment in the future
8
1.1
A better world is possible
8
1.1.1
1.1.2
1.1.3
Development policy is a policy for the future
Development opportunities for all
Development policy combines interests and values
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8
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1.2
Goals of future-proof development
10
1.3
Criteria for future-proof development
10
1.3.1
1.3.2
1.3.3
1.3.4
1.3.5
1.3.6
1.3.7
Willingness and capacity to innovate
Pro-education focus
Ownership
Human rights, the rule of law and democracy
Good governance
Market orientation and entrepreneurship
Climate protection, resource efficiency and renewable energies
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1.4
Refocusing German development policy
12
1.4.1
1.4.2
1.4.3
Responding to new challenges
Diversifying development policy
Combating the causes of poverty by investing in education,
economic development, crisis prevention and health
Increasing effectiveness
Creating new financing channels
Strengthening multilateral institutions
Utilising Europe’s opportunities
Increasing the effectiveness of international economic relations
Becoming an innovative agenda-setter
Strengthening commitment, coordination and dialogue
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1.4.4
1.4.5
1.4.6
1.4.7
1.4.8
1.4.9
1.4.10
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14
15
16
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18
Tab le of c on te n ts
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2.
Key areas for future-proof development
19
2.1
Strengthening Africa, the continent of opportunity
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2.2
Combating the causes of poverty with future-proof energy
20
2.3
Tapping into Germany’s innovative climate protection potential
22
2.4
Helping fragile states is an investment in peace
23
2.5
Boosting the innovation capacity of leadership elites
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1. I n novative d e ve lopm e n t polic y: an investment in the future
1.
Innovative development policy:
an investment in the future
1.1
A better world is possible
1.1.1 Development policy is
a policy for the future
1.1.2 Development
opportunities for all
The challenges of the 21st century relate to
global development issues. In 2050 the world’s
population will reach nine billion. Today, two
thirds of German youth believe that climate
change threatens human existence. There are
one billion hungry people in the world today.
Things cannot continue as before. Poverty,
population growth and migration, climate
change, fragile statehood and unstable markets call for political action. The international
community must today find the solutions to
economic and social and to ecological and political issues that will work tomorrow. A better
world is possible. The Federal Ministry for Economic Cooperation and Development (BMZ)
wants to contribute to creating that better
world. That is why development policy is more
than just charitable giving: it is an investment
in the future that is in everyone’s interests. As
a policy for the future it must facilitate innovative solutions based on the spirit of partnership across the world. Our approach is based
on cooperation rather than confrontation; it
stands for values and interests; it creates independent, not dependent partners; it opens
up opportunities and aims to help people live
in freedom and peace, and under their own
responsibility. Lack of opportunities in life
threaten human freedom. More development
means more freedom. Human rights and
democracy are thus the foundations on which
our work is based; global development that is
fit to face the future is our guiding principle.
Partner countries’ development successes
open up opportunities – for us too.
In recent years economic growth and improved governance have led to higher life
expectancy, better healthcare services and
more opportunities in life in many developing countries in Africa, Latin America
and Asia. Our policy will seize this historic
opportunity and contribute to stabilising
the successes achieved by this group of
countries. Success may mean that, in a matter of a few years, previous development
cooperation with these countries will come
to an end.
At the same time it is clear that globalisation has not yet become a success story
for everyone. Absolute poverty, climate
change, scarcity of resources and fragile
states cost lives and prevent good development. The consequences of undesirable
developments do not stop at national borders. Global development becomes fit for
the future if it is economically, socially and
ecologically sustainable. We want to make
a visible and effective contribution to that.
Our development policy is based on clear
objectives, values and interests, it builds on
strong partners and uses reliable, transparent rules.
1. I n novative d e ve lopm e n t polic y: an investment in the future
1.1.3 Development policy
combines interests
and values
In order for international cooperation to
gain broad acceptance, it must be accountable for values and interests. Debate on the
conceptual focus of development policy
has always been lively. From the outset it
was to be independent, to combine foreign
and economic policy objectives, and to
base efforts to create a better world on ethical standards.
Development policy is not good simply
because it is altruistic. By the same token,
it is not bad simply because partners link
it with their own interests. Global partnership means that all those involved are open
about their interests, are able to negotiate
them on a level playing field and realise
them responsibly to mutual benefit against
the backdrop of a set of values.
Our values are given concrete shape in the
human rights laid down in United Nations
instruments. We are willing to be judged
by whether we facilitate more ownership
and equality of opportunities; we stand for
subsidiarity, freedom and the basic conviction that no person is superfluous.
We have an interest in people living in
freedom and peace, and in preventing
involuntary migration. We want security
and future-proof prosperity – not just for
ourselves. We must set the right course to
ensure that interests can be realised. Key
factors are the rule of law, open societies,
value-added and entrepreneurial activity
on the basis of fair market regulation.
Whenever development successes in that
sense are achieved in partner countries
with the help of the private sector and jobs
are created, whenever reasons for flight
are replaced by prospects for the future,
or progress is made on climate protection
and resource efficiency, then we create a
win-win situation for all. Economic interests do not take precedence over development policy objectives, but instead serve
them. Sustainable tourism, for example,
combines own interests with opportunities
for economic and cultural development.
So values are not at odds with interests.
However, conflicts between goals can arise.
Wherever human rights are abused we
will address the conflict between goals by
giving priority to values over interests. We
believe that, in borderline cases, there is
a price to pay for sticking to one’s values.
Entrepreneurs must also be able to hold
back. The principle that human rights are
non-negotiable is established in our constitution, the Basic Law, and is in our own interests. But in all we do, we never lose sight
of the poor or of the causes of poverty.
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1. I n novative d e ve lopm e n t polic y: an investment in the future
1.2
Goals of future-proof development
Our agenda for enhancing development
opportunities embraces the Millennium
Development Goals (MDGs) and at the same
time goes beyond them. Our goals are good
governance, human dignity, ecologically
responsible growth that creates jobs,
and fair structures in international economic and political cooperation. Whether
development policy succeeds or fails – the
impacts will be felt here in Europe too.
Continued underdevelopment contributes
to greater propensity for violence, disease,
conflict, climate change, and displacement. Successful development promotes
future-proof prosperity and freedom, the
rule of law, participation and security
worldwide.
An agenda for enhancing development opportunities needs strong partners. German
development policy works with forwardlooking alliances with innovation-oriented
entrepreneurs and a creative civil society
1.3
across the world. Policy-making in this
field involves recognising opportunities,
taking risks, causing innovation to happen,
strengthening coherence and tapping into
resources. That kind of entrepreneurial
development policy is based on the conviction that economic freedom is rooted
in human rights. It is indeed possible to
reconcile business and society.
An agenda for enhancing development
opportunities needs fair rules. Government development policy has a genuine
and democratically legitimised responsibility when it comes to regulation and
legislation. But it can never bring about the
changes needed to solve the problems of
the future on its own. Development policy
is an investment in the future made by the
whole of society. In terms of partners, objectives and global regulation, we consider
the BMZ as a dialogue platform for global
future viability.
Criteria for future-proof development
Development policy can open up and support development potential but can never
take the place of partners’ own efforts and
responsibility. That is why international
cooperation is based on the principle of
both challenging and supporting its partners. In order to create opportunities to
enable a life in dignity, good governance,
ecologically responsible and inclusive
growth, and fair structures in international
cooperation we invest taxpayers’ money in
development policy. We promote investment in open societies, in macro-economic
performance and in legitimate governments’ capacity for action on the basis of
the rule of law. We believe there are seven
criteria that are important for beginning or
moving forward cooperation with partners
and for eliminating the causes of poverty:
1. I n novative d e ve lopm e n t polic y: an investment in the future
1.3.1 Willingness and capacity
to innovate
1.3.4 Human rights, the rule
of law and democracy
The willingness to innovate is a question of
attitude and requires diversity, the ability
to enter into dialogue, interdisciplinary
methodological skills and global networks.
Investment in innovation processes is not a
luxury, it is a precondition for tapping into
the opportunities afforded by globalisation, overcoming the attendant challenges,
ending dependence on aid and combating
the causes of poverty.
Human rights are non-negotiable. Futureproof development needs human rights –
civil and political, economic, social and cultural, and women’s and children’s rights.
Development will not succeed where there
is no legal certainty. Democracy, the rule
of law, the inclusion of people with disabilities, and the protection of human and
property rights, especially for small farmers, and for vulnerable and discriminated
population groups, are the basis for people
being able to shape their lives independently within the means available to them.
1.3.2 Pro-education focus
Knowledge is the key to overcoming
poverty, to overcoming lack of freedom,
and for societies to develop independently
and with a focus on participation. Involving knowledge networks and establishing research institutions and cooperation
between such institutions form part of this
integrated approach to education.
1.3.3 Ownership
Progress can only be made on development
if people take on responsibility and are in a
position to do so. Development cannot be
imported or exported. Development policy
can support people’s individual efforts
and leadership elites but can never replace
them.
1.3.5 Good governance
Overcoming the causes of poverty demands that the law must take precedence.
That means there is a need for developmentoriented governments which are able to
stop tax evasion and mobilise their own
revenues to fight poverty, active civil
societies, free media, protection against
major risks and guaranteed security. Our
work involves not only government-level
decision-makers but also associations,
NGOs and enterprises, and stakeholders.
Enterprises have a social responsibility.
Transparency remains the method of
choice when it comes to combating corruption. Governments in rich nations and
emerging economies, too, have respons-
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1. I n novative d e ve lopm e n t polic y: an investment in the future
ibility for making reliable contributions to
solving global challenges and for creating
fair global structures.
1.4
social protection, inclusive growth and
opportunities in life.
1.3.6 Market orientation
and entrepreneurship
1.3.7 Climate protection,
resource efficiency and
renewable energies
Fair rules and the dismantling of discriminatory barriers to trade are fundamental
prerequisites for successful development.
Entrepreneurship within functioning
local, regional and global markets is indispensable when it comes to generating
tax revenue and improving employment,
Development needs energy. Growth must
be decoupled from negative impacts on
the natural resources on which livelihoods
are based. Resource and energy efficiency
are necessary for green growth, environmentally sound development and climate
protection.
Refocusing German development policy
1.4.1 Responding to
new challenges
The development landscape has changed.
For that reason alone development policy
also has to change. Former developing
countries have become key political and
economic players. The incidence of war
has declined, and the number of democracies has increased. Higher growth rates
increase the pressure on resources and
on the global climate. Nevertheless, more
than one billion people are still living on
less than 1.25 US dollars a day. Unlike the
situation 20 years ago, these people are not
primarily to be found in poor countries.
600 million of those living in absolute poverty live in middle-income countries (MICs)
like China, India and Viet Nam. 300 million poor people live in fragile and conflict
states. More than 20 out of the around 30
countries that will fail to achieve the MDGs
by 2015 are affected by state failure and
violent conflicts. Insecurity, violence, bad
governance and state failure constitute a
development trap from which only politics
is initially able to find a way out. Our development policy draws the consequences
from such global changes.
1. I n novative d e ve lopm e n t polic y: an investment in the future
1.4.2 Diversifying
development policy
We are adapting our development policy
to the various challenges:
■
Fragile governments and conflicts
often have a serious impact on the lives
of people living in the least developed
countries (LDCs). Poverty reduction
and stabilisation are thus the most
urgent tasks. The focus here is on security, emergency assistance and basic
investments in human development.
■
■
There are some LDCs, however,
whose economy has grown, usually
because they export resources. These
countries now need to avoid the risks
associated with the resource curse,
namely corruption, bad governance,
low employment intensity, resource
degradation and conflicts over access.
In these cases we help to set the course
towards more value-added, sustainable development.
In more advanced countries the task
is not only to stabilise the economic
and social development momentum,
but to lay the foundations for futureproof development. Wide-ranging
tasks arise from that, such as creating
educational opportunities, protecting
human rights and achieving broadbased economic momentum, as well
as developing climate-friendly cities
and resource-saving energy systems,
technology partnerships for climate
protection, initiatives to protect
global eco-systems, increasing food
security by strengthening the agricultural sector, its productivity and storage capacities, fighting food speculation, building a fair global economic
environment etc.
■
As for emerging economies, we
regard them increasingly as global
development partners with whom we
can drive forward cooperation in our
mutual interests, for example in the
field of climate protection, through
technological and scientific cooperation, and with regard to defining
global development agendas. That
applies, in particular, to triangular cooperation and fostering South-South
cooperation.
1.4.3 Combating the causes
of poverty by investing
in education, economic
development, crisis
prevention and health
We stand by our commitment to help
achieve the MDGs by 2015. Our approach
is to combat the causes of poverty rather
than alleviating the symptoms. Educational poverty causes income poverty,
interferes with human rights, robs people
of opportunities in life and reinforces
inequalities. We counter that by means of
‘wealth creation’ through development
policy that relies on education, especially
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1. I n novative d e ve lopm e n t polic y: an investment in the future
vocational education, interdisciplinary
methodological skills, and also independence and responsibility.
In addition to this integrated understanding of educational opportunities, we
support investment in social protection
systems and in strengthening health
systems – because they are the preconditions for achieving the MDGs in the field of
health. Development based on the subsidiarity principle needs people to be able
to act under their own responsibility, it
requires economic cooperation, regional
markets and access to financial services.
The targeted empowerment of women has
proved particularly effective, since it is they
who organise day-to-day life and bear most
responsibility in their families.
Local value chains create jobs and generate
tax revenue in partner countries. Productive local enterprises, investment and corporate social responsibility are the key to
economic growth in developing countries.
Future-proof growth is meant to reduce
poverty. It must be economically, socially
and ecologically sustainable. Our aim in
contributing to that is to enable everyone
to live their lives in social and economic
freedom – regardless of gender and background, health and age. In that way, we
promote inclusion and support ownership
rather than prolonging people’s dependence on aid. We regard the poor and our
partner countries’ governments as partners
who are responsible for doing what they
are able to do for themselves.
1.4.4 Increasing effectiveness
Development policy has achieved successes
in the past and has found great approval.
At the same time, development policy is
not always broadly accepted and is under
pressure to justify itself. It would be good
if we were able to convince critics of the
effectiveness of development policy. That
will not be possible if we stick to ‘business
as usual’. That is why we will initiate new
approaches. Without the willingness to
innovate it will not even be possible to
preserve what has proved its worth in the
past. Development policy can achieve a
great deal, but not everything. The dream
of development policy omnipotence is
a politically naive illusion. But we can
achieve more effectiveness with the limited
tax revenues available. Effectiveness needs
cooperation. That is why we cooperate with
official, entrepreneurial and civil society
partners. In founding the Gesellschaft für
Internationale Zusammenarbeit (GIZ),
Germany’s implementing organisation for
Technical Cooperation, we have created
the prerequisites for increasing efficiency
and for results-based controlling. In order
to be able to better record results and create more value for money, we will set up an
independent evaluation institute to assess
long-term impacts.
Effectiveness requires partners to take
ownership, and it requires a division of
labour among donor countries that makes
use of comparative sectoral and geograph-
1. I n novative d e ve lopm e n t polic y: an investment in the future
ical advantages. Budget support can
be useful following a case-by-case
review and can be an instrument for
policy dialogue and for improving the
national environment, provided that
the prerequisites for budget support
are in place in the country in question.
The Paris Declaration on Aid Effectiveness (2005) and the Accra Agenda for
Action (2008) represent necessary and
successful steps towards improving
effectiveness. We must not, however,
become complacent. Improved administrative procedures and planning
models are not the only benchmarks for
effectiveness. Effective development
cooperation means mobilising people
and releasing social potential, initiative
and the power to innovate in diverse
countries and cultures. We believe the
key to successful global development
lies in the innovative pioneers of social
movements, in responsible leadership
and in capable institutions. Capacity
development is important for us so that
people and institutions can make use of
their opportunities. All debate on the
effectiveness of development cooperation will come to nothing if the environment is not conducive to development
and if there is no coherence with other
policy fields. In order to establish development policy as a cross-cutting issue
within the German government we
have set up an interministerial steering
group on international cooperation.
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1.4.5 Creating new
financing channels
Although the development landscape has
changed in recent years in terms of goals,
actors and instruments, the same cannot
be said for the concept of Official Development Assistance (ODA). The boundaries
between traditional public sector and private sector funding long ago became fluid.
Today, more than 10 times as much ODA is
spent via NGOs than was the case in 1990.
Migrants’ remittances exceed the amount
of official development assistance for their
home countries. The German government
is sticking to its 0.7 per cent target for its
ODA quota, because development policy
needs resources. But as important as the
ODA statistic is as a standard against which
to measure the 0.7 per cent target and the
pledge made by the international community, it provides little information about the
contributions that actually have an effect
on a country’s development. For example,
ODA ignores the dismantling of harmful
subsidies and customs barriers, although
that is conducive to development and has
a greater impact than many an injection of
cash. ODA should not become the sacred
cow of development funding. New financing channels must address shortcomings
and contribute to the dialogue on a development architecture that is oriented to
effectiveness. In the EU we are searching for
ways to evaluate the effectiveness of all development policy funding in the same way
as is done for entrepreneurial investments.
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1. I n novative d e ve lopm e n t polic y: an investment in the future
We are working on developing innovative
financing for development instruments
with which to mobilise more private investment and market funding.
1.4.6 Strengthening
multilateral institutions
Climate change, the international restructuring of energy systems and the development of the global economic environment
mean that new forms of multilateral cooperation need to be developed. Germany is
willing to take on more responsibility in
multilateral development policy and to
harness its strengths more effectively. Important restructuring processes are underway in the World Bank, the IMF, in regional
banks and UN organisations. Germany
will be actively involved in shaping these
reform processes.
We welcome the fact that a comprehensive
approach to development has been firmly
embedded in the G-20 process. Global
challenges cannot be met unless the G-20
group takes on responsibility. The G-20
represents two thirds of the world’s population, 80 per cent of global trade and 90
per cent of global gross domestic product
(GDP). But this group of countries is also
where the majority of those living in absolute poverty have their homes. In order for
the work of the G-20 to gain acceptance,
we need to enter into dialogue within the
United Nations and to coherently represent
the concerns of the countries in the group.
Germany has the world’s largest organisation for international Technical Cooperation, the Gesellschaft für Internationale
Zusammenarbeit (GIZ). The KfW Bankengruppe is regarded as one of the world’s
strongest bilateral finance institutions
for development. Better dovetailing of
bilateral and multilateral cooperation is a
task that we are driving forward with our
partners, for example through triangular
cooperation, joint sector programmes and
strategic partnerships based on a meaningful division of labour.
1.4.7 Utilising Europe’s
opportunities
The BMZ’s budget reflects Germany’s
global responsibility. It is the German government’s second-largest investment budget. But Germany also acts as a European
partner. 60 per cent of public expenditure
on global development comes from the EU.
The EU is present in nearly every country in
the world and has a leading role in efforts
to increase effectiveness. We want to make
better use of this potential. The European
External Action Service (EEAS) gives us
the framework within which to dovetail
development, foreign, trade, agricultural
and climate policy more coherently and
more efficiently for development. We want
to contribute to making Europe a key actor
when it comes to shaping globalisation.
Germany will remain a reliable partner
throughout those efforts.
1. I n novative d e ve lopm e n t polic y: an investment in the future
1.4.8 Increasing the
effectiveness of
international
economic relations
It is inconsistent with a free and fair market that trade barriers, protective tariffs
and export subsidies pose an obstacle to
development progress. As a result, developing countries are currently losing twice as
much revenue as all donor countries put
together are spending in terms of ODA.
Such incoherency slows down the momentum created by successful development
partners through direct investments. The
aim of German development policy in
this context is to set up a trade system that
facilitates free trade and creates fair development opportunities. For us, shaping the
multilateral trade system in a manner that
is conducive to development is a key condition for future-proof development and all
forms of helping people to help themselves.
Only then can new markets develop. Only
then can entrepreneurs become the drivers
of international development. Sustainable extractive resource management in
producer countries is also in Germany’s
interest. Good governance and transparency create the essential foundation for
that; monitoring changes in the field of
governance is a concrete approach that
shows the way forward. With regard to resources for which there is global demand,
future-proof development will only be
possible where it is not the rule of ‘might is
right’ that prevails but the rule of law. More
specifically, that means partner countries
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need to establish well-functioning state
institutions, set high environmental and
social standards, and adopt developmentoriented fiscal and financial policies.
1.4.9 Becoming an innovative
agenda-setter
Our development policy will make more
use of the potential of the private sector, civil society and science as drivers of
innovation. We regard the willingness to
innovate as a precondition for being able
to preserve what has stood the test of time
and to set future trends, both in Germany
and in partner countries. Together with
other governments, the BMZ will contribute more than in the past to international
agenda-setting processes within the G-20,
the World Bank and other multilateral
organisations, and the EU. We will also step
up exchange with globally active foundations, initiatives and religious communities. Innovative development policy will
strengthen joint scientific cooperation
between developing and industrialised
countries. Common bodies of knowledge
improve the basis for effective and innovative cooperation and help to build trust. We
want to be a trendsetter in the field of new
communication technologies in order to
move forward on dialogic cooperation networks, more rapid exchange of know-how,
cross-border learning processes, transparent government action and combating
corruption.
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1. I n novative d e ve lopm e n t polic y: an investment in the future
1.4.10 Strengthening commitment, coordination and
dialogue
Change comes from the midst of society.
Committed civil society individuals and
committed entrepreneurs can make a
great difference. Where those affected
seek ways to improve their situation, they
can develop ideas that promote change
processes. That is why, for us, cooperation
with committed individuals in civil society,
business and politics is of fundamental
importance. Development benefits from
the experience and scope for action of
churches, political foundations and NGOs,
of migrants and think tanks. We regard the
Länder (federal states) and local authorities in Germany as important actors and
intermediaries that are capable of mobilising others to get involved and of promoting development partnerships. In order
to strengthen such diverse commitment
and to ensure that it bears fruit for development, we have created service points
for business and for municipal and civic
engagement.
2 . Ke y are as for fu tu re -proof d e velop ment
2.
Key areas for future-proof development
An effective and visible development
policy needs to set priorities and identify strengths. We believe that there are
concrete opportunities for getting globalisation on the right track. On our neighbouring continent of Africa we can help to
ensure that within a few years a successful
group of countries are no longer the object
of development policy. Over the next few
years we will have to formulate development strategies that go beyond the existing
MDGs. Climate compatibility and efficient
energy systems, a key issue when it comes
to self-sustaining economic development,
will have a key role to play here. Germany is
2.1
19
an innovation leader in the field of energy
and resource efficiency and will further
step up its efforts to share its potential with
partner countries to help them meet the
challenges they face. The international
community also faces an entirely different
challenge, namely how to support the development of fragile states and regions. We
believe the current younger generations in
these countries in particular have a historic
opportunity. We have identified five key
areas in which linking priorities with potentials that will shape the future promises
special success in the coming years.
Strengthening Africa, the continent
of opportunity
We regard our neighbouring continent
of Africa as a continent of opportunity.
Without doubt there are fragile and
conflict-affected states that need tailormade policies (see 2.4). But Africa is more
than a continent of crisis. It is a continent
on the move: The number of democracies
in sub-Saharan Africa has risen from three
to 23 since 1989. Some 15 countries have
achieved positive growth rates comparable
with other successful countries in Asia and
Latin America. A new generation of entrepreneurs, decision-makers and civil society
actors is taking on responsibility, making
use of modern technologies and living in
an international, networked world.
We want to help sustain this momentum.
In addition to the trade and investment activities German entrepreneurs engage in,
German development policy will strengthen
these African economies on their road to
success and promote viable private-sector
structures at local level, thus creating jobs
and opening up new markets. There can be
no development without local value-added.
We regard the successful countries as
sources of impetus and inspiration for the
entire region. By stabilising MICs we can
help boost the opportunities available to
LDCs. Until now, better economic policies
and commodity exports have been the
drivers of growth. The result is an increased
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2 . Ke y are as for fu tu re -proof d e velop ment
risk of setbacks: low impacts on employment, environmental degradation, conflicts
over access to resources and corruption
threaten what has been achieved.
In order to put growth on an ecologically
and socially viable foundation, German
development policy will promote the
expansion and diversification of local
value-added. More specifically that means
fostering regional cooperation efforts, promoting the private sector and investing in
people, education, knowledge and health,
and especially fighting HIV and AIDS. Local
policy-makers and business players are
called to use resources responsibly and
transparently to combat the causes of poverty and to support climate protection and
biodiversity.
What are we doing to promote development
and the private sector in Africa?
Here are some examples:
■
Investing in the microfinance sector and sound financial systems
■
Accelerated customs clearance, functioning commercial courts
and anti-corruption efforts
■
Investing in an integrated approach to education for qualified local personnel
■
Advising, financing and supporting investment projects in small and
medium-sized enterprises
■
Feasibility studies and networking programmes for German and
African business
2.2
Combating the causes of poverty
with future-proof energy
Development needs future-proof energy.
More than 500 million people in subSaharan Africa do not have secure access to
electricity. Globally, 1.4 billion people are
without electricity; 2.7 billion mainly use
firewood for cooking or heating purposes,
which has consequences for their health
and the environment. Modern energy
services are prerequisites for access to
safe drinking water, lower child mortality
2 . Ke y are as for fu tu re -proof d e velop ment
rates, agriculture, lighting, transportation,
telecommunications and entrepreneurship. Future-proof energy systems must be
adapted to local conditions and lifestyle
habits in order to enable economic development and poverty reduction.
Successful development leads to an increase in energy demand. Fighting energy
poverty is thus one of the focuses of German development policy, particularly in
Asia and Africa. It is today that the course is
being set for these regions’ future energy
supply structure. Germany will take a leading role in this process and will mobilise
21
partners to implement an initiative for sustainable energy for development. Germany
is one of the few countries utilising nuclear
power in which there is cross-party consensus that the technology is no longer fit for
the future.That is why we are supporting
the enormous potential inherent in renewable energy, be it solar, wind, geothermal
or biomass. We believe these resources
have great development and entrepreneurial potential. And that is why we support
the sustainable and future-proof use of
resources and access to affordable as well
as environmentally sound and climatefriendly energy.
What are we doing to promote commitment
to sustainable energy?
Here are a few examples:
■
Establishing markets for renewable energies
■
Promoting the world’s largest photovoltaic power plant in Maharashtra, India
■
Strengthening the International Renewable Energy Agency (IRENA)
■
Expanding the German-Dutch ‘Energising Development’ energy partnership
■
Expanding the innovative power of the Africa-EU Energy Partnership (AEEP)
■
Promoting private and municipal investment in energy efficiency through innovative lines of credit and consultancy services (e.g. the Green for Growth Fund
in South-East Europe)
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2 . Ke y are as for fu tu re -proof d e velop ment
2.3
Tapping into Germany’s innovative
climate protection potential
Just as climate change is threatening
achievement of the MDGs, a climatefriendly development path opens up new
development opportunities. By supporting
work on the United Nations Framework
Convention on Climate Change we are
backing a set of rules that involves everyone, from rich industrialised nations to
poor developing countries. Emissions need
to go down and coherent approaches need
to be adopted for the trend to be reversed.
It is the LDCs especially that need support
in adapting to the consequences of climate
change. Protecting forests is indispensable
when it comes to stemming the consequences of climate change. Forests
provide habitats, biodiversity and local
opportunities for generating income. The
diverse measures relating to the environment and climate must be part of a national development strategy.
We are banking on the innovation potential available in the business, academic and
research sectors in Germany, where leaders
can be found in many areas of relevance to
the climate, infrastructure and the environment. We want to use these strengths to
satisfy mutual interests in order to establish
alliances for the future to benefit climatefriendly development and thus support
European climate and energy policy. We
will support our partner countries in using
resources more efficiently and more
sustainably, in achieving global climate
targets and in increasing their opportunities for development. Our many years of
experience in Latin America have shown
that change is possible.
We will incorporate tools for financing
mitigation and adaptation measures,
economic and technology consulting and
methodological skills, institution-building,
science and research, and further training
into a kind of ‘German climate innovation
brand’. Such systemic solutions need to be
implemented after adaptation to local contexts and require interministerial coherence, which we will realise in the form of a
technology-based development policy.
We believe that shaping the global surge in
urbanisation in a climate-friendly fashion
is one of the central tasks of international
cooperation. By 2050 the majority of the
world’s population will be living in urban
centres. Today, 40 per cent of Africans
already live in urban regions. In Asia the
number of city dwellers will double, from
1.5 to 3 billion, by 2030. This development
is being mirrored in Latin America and will
pose new challenges for urban planning,
architecture, transportation systems and
technological innovation. We will address
these challenges.
2 . Ke y are as for fu tu re -proof d e velop ment
23
What are we doing to support climate-friendly development?
Here are a few examples:
■
Initiative for Climate and Environmental Protection
■
German Climate Technology Initiative (mobilising German technology
opportunities for a low-carbon economy in emerging and developing countries)
■
REDD+ approach (Reducing Emissions from Deforestation and Forest Degradation) for forest conservation and reafforestation
■
Adaptation strategies: infrastructure (energy, water, urban development,
mobility, disaster protection), insurance systems in agriculture and forestry
■
■
■
2.4
Service point for civic and municipal engagement
Expanding cities’ and municipalities’ climate alliances
Strategic cooperation with ICLEI – Local Governments for Sustainability
on climate-friendly local and urban development
Helping fragile states is an investment in peace
Half of our partner countries are affected by conflicts. Weak governmental
structures, violence, poverty, human
rights abuses, and trafficking in humans,
weapons and drugs negatively impact on
people’s opportunities in life. Here, development cooperation must adopt a conflictsensitive and conflict-mitigating approach.
Development requires a minimum level of
security. The security and foreign policy
relevance of fragile states means that devel-
opment strategies, diplomatic strategies
and security strategies are intertwined in
a coordinated approach. Donor coordination has an important role to play in this
so as to ensure that local capacities are not
overstretched. Development cooperation
must take account of specific contexts at
local level and react quickly and flexibly to
changes. There are no ‘one-size-fits-all’
solutions. Our cooperation is aimed at good,
inclusive governance. Governmental and
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2 . Ke y are as for fu tu re -proof d e velop ment
civil society reform forces and institutions
that facilitate transparency and accountability – through the legislature, judiciary
and media – must be strengthened. German development policy has effective
instruments for doing just that, namely its
Financial and Technical Cooperation, the
political foundations and the Civil Peace
Service. Our involvement in countries with
fragile statehood is expensive and requires
perseverance. Emergency and transitional
aid constitute the first, necessary measures
for securing livelihoods. We take a prevent-
ative approach that addresses the causes of
conflicts and state failure, with the aim of
promoting long-term peace. Developmentbased crisis prevention can help to make
military interventions unnecessary. We
regard cooperation as a risk investment:
where it leads to success it has great political, social and economic benefits – for local
people, for our country and for the international community. The success of development policy in such cases is a peace
dividend.
What are we doing to help fragile states?
Here are a few examples:
■
Training local correspondents in peace journalism for crisis prevention
■
Using the ‘whole-of-government’ approach to integrate security, diplomacy
and development
■
Tripling funding allocated to Afghanistan
■
Innovative instruments such as regional development funds in Northern
Afghanistan, Afghanistan Reconstruction Trust Fund, Multi-Donor Trust Fund
for Pakistan
■
Civil Peace Service for conflict prevention and conflict transformation
■
Supporting victims of rape in Congo, cooperation between German foundations
and democratic actors in Egypt, Governance Fund in Yemen, Peace Fund in the
Democratic Republic of the Congo
2 . Ke y are as for fu tu re -proof d e velop ment
2.5
25
Boosting the innovation capacity
of leadership elites
Where interdependencies require global
and intersectoral action, where poverty,
climate change and fragile statehood are
perpetual interwoven problems, then
innovations and innovation pioneers are
needed. The focus is then always on the
opportunities open to individuals and on
the reform of institutions. Those who want
future-proof development and innovative
societies must promote attitudes and instruments that identify and strengthen the
future-oriented capacities of people, social
movements, institutions and enterprises.
Innovation and mainstream rarely or never
go hand in hand.
Change needs leadership in the most
diverse areas. Leadership is more than just
professional competence, it is social players’ self-empowerment, it is competence
in terms of discourse, methodology and
values. Interdisciplinary experience and
systemic thinking are needed to set innovation processes in motion, as are the freedom to act, networks and gender fairness.
Local ecological, social and religious issues
have become international issues. Global
leadership requires a knowledge of local
interests and the ability to combine these
with global perspectives. Culture and religion are forces that influence the success of
foreign and development policy. In order to
be able to face the challenges arising from
that we need an innovative concept of leadership that taps the potential of pioneers in
civil society and business, and the potential
of cultures and religions, research and
science, thus introducing future-oriented
knowledge into institutions, prototypes
and programmes. Such pioneers are not
only the easily identifiable decision-makers
of today but also people who are not in the
front line and yet stand behind their ideas
and put all their efforts and entrepreneurship into realising them.
New thinking requires new structures;
change management requires methods
that identify, communicate and implement approaches that are fit for the future.
26
2 . Ke y are as for fu tu re -proof d e velop ment
We measure leadership development by
the ability to think along new lines and to
work on future viability through a dialogue
without predefined outcomes. It is not
know-alls we will need in the future, but all
the knowledge we can harness about our
global future and its interdependencies.
pioneers, in forward-looking and valuebased, cooperative leadership elites from
the political, administrative, economic and
academic spheres and civil society. Over
the coming years we want to make such
investments in ‘minds for change’ a trademark of Germany’s contribution to futureproof development.
We regard innovative educational and
leadership approaches as investments in
What are we doing to promote innovative global leadership
elites and innovation?
Here are a few examples:
■
BMZ Forum for the Future
■
BMZ innovation advisory board
■
Global Leadership Academy
■
Climate Leadership Programme
■
Global governance leadership models
■
Alumni portals
■
BMZ innovation lab, plus fellowship programme
■
Shaping change management and open-mindedness processes in the BMZ
■
Developing innovation systems in the context of private-sector promotion
in Serbia
Germany’s contribution
Creating
opportunities globally
Effectiveness MDGs Climate
Business and civil society
Making international cooperation fit for the future
Global policy for the future
Interests and values Peace and security
Strategy capacity
Commitment
Combating the causes of poverty
Visibility
Education
Inclusive green growth Women
Coherence
Leadership elites
Innovation
Human rights
Dirk Niebel, MP
Gudrun Kopp, MP
Hans-Jürgen Beerfeltz
Federal Minister for Economic
Cooperation and Development
Parliamentary State Secretary to
the Federal Minister for Economic
Cooperation and Development
State Secretary of the Federal Ministry for
Economic Cooperation and Development
Published by the
Federal Ministry for Economic Cooperation and Development (BMZ)
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As at
August 2011
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